The bookkeeper prepared a check for $68 but accidentally recorded it as $86.When preparing the bank reconciliation,this should be corrected by:
A)Adding $18 to the bank balance.
B)Subtracting $18 from the bank balance.
C)Adding $18 to the book balance.
D)Subtracting $18 from the book balance.

Question

Quizplus · Accepted Answer

The error was made in the books, not the bank, so the correction needs to be made to the book balance. Since the check was recorded as more than it actually was, the book balance is lower than it should be. Adding $18 corrects this discrepancy.

The Bookkeeper Prepared a Check for $68 but Accidentally Recorded